Paid out $1.5 billion? I don’t buy it.
Funny how the government can change the “rules” on private investment into 401k plans.
Defund these ponzi pension funds that promise 90% of annual income for life.
Abolish public schools and this will be solved; no more property tax, no more property confiscation by the state. You get what you pay for—except from the state.
Bankruptcy!
Its good - and its necessary. Pray it comes soon.
I wonder how many high schoolers actually graduated?
my solution to pensions in this country....
stop offering defined pensions immediately...for all...military included...
offer 401's and then ONLY pay out what govt contributed when the recipient reaches age 60
if someone wants to retire on what they saved in their 401 k, let them..when they're 59 and 1/2 like everybody else.....
offering defined pensions was a mistake from the start...like Medicare and SS, nobody things about the long term consequences of such grandiose ideas....
the younger people are always the ones to suffer...
Not, as the libs like to say, sustainable.
How can any organization legitimately expend $35.8 million in “investment expenses” to make only $7.8 million on its money? Sounds to me like some investment companies have gotten into some real sweetheart deals with the fund’s managers.
This is fraud. The teachers don’t put in much to their retirement. And the calculations for their benefit expand their benefit far above what they should get under a normal pension. The avg. benefit is $50,000. But that includes teachers who only worked 7 years. The avg. pension for those who retire with a full pension is well above $100,000. And it grows every year. They get a 3% raise every year of retirement. These greedy bastards will take down the state and the city as well as the schools. All three have the same issue, ridiculously over generous pension plans that pay out far more than the government employee actually made while they were working.
Just wait a few years. There is nothing to be done in Illinois. Math will collapse the state in a few years. It won’t matter what they try to do. Its like a fly stuck in a spider web. Any sign of struggle just makes it worse.
So only 7.8 million with 10 billion capital! That is only ~0.078% yield - almost nothing so even the money they have is badly managed. For comparison the Dow Jones Industrial Average adjusted for dividend reinvestment returned 16.47% in 2016.